Rackspace Technology has released its 2025 Sustainability Report, highlighting measurable progress toward net-zero emissions, renewable energy adoption and global environmental impact through innovation and responsible Digital Transformation.
Rackspace Technology has released its 2025 Sustainability Report showcasing progress toward net-zero carbon emissions, enhanced operational efficiency and global impact through strategic partnerships and innovation.
The report reflects Rackspace’s commitment to aligning with the United Nations Sustainable Development Goals (SDGs) and leading the cloud services industry in sustainability practices. In 2025, the Science Based Targets initiative (SBTi) validated Rackspace’s Greenhouse Gas (GHG) reduction targets, demonstrating measurable environmental progress aligned with SDG 13.
“At Rackspace Technology we are making sustainability a measurable part of how we run the company,” said Gajen Kandiah, Chief Executive Officer, Rackspace Technology. “In 2025 our near-term and long-term targets were validated by the SBTi, we reduced total emissions by ten percent from our 2023 baseline and we improved efficiency at priority sites. The same discipline now shows up in how we help customers lower costs and carbon. We will continue to report with clear data, independent reviews and strong governance.”
Rackspace’s sustainability efforts emphasise renewable energy, conservation and advocacy. Approximately 28.4% of electricity used across Rackspace-operated data centres in 2024 was matched on a market basis through Power Purchase Agreements (PPAs) and/or Renewable Energy Certificates (RECs). The company plans to increase long-term contracting as markets allow.
In 2025, SBTi validated near-term targets for Scope 1 and Scope 2 emissions, and for Scope 3 purchased goods and services, using a 2023 baseline. The long-term net zero target covers Scopes 1, 2 and 3 with neutralisation of residual emissions by 2045.
Progress
• Ten percent of total emissions reduction in one year: achieved from 2023 to 2024, including a 20% drop in Scope 1 and 2 and 9% reduction in Scope 3 emissions
• Headquarters relocation in San Antonio, Texas, cut facility emissions by 80%: downsized from 800,000 ft² to 80,000 ft², saving 6,007 tons of CO₂e from 2023 to 2024
• Eighty percent of Rackspace global data centres are powered by renewable energy: advancing toward 100% through RE100 and strategic energy partnerships
• DFW data centre efficiency upgrades: enhanced automation and building management systems at the Dallas/Fort Worth data centre improved energy performance and monitoring, reducing power consumption by approximately 1,700 MWh between 2023 and 2024
• Third-party audited Scope 1, 2 and 3 emissions baseline: strengthened environmental data capabilities with verified carbon accounting and double materiality assessment
Purpose
• Leadership in responsible AI: Rackspace leaders co-authored SustainableIT.org’s ‘IT Toolkit for Responsible and Sustainable AI’ to guide scalable implementation
• Circular IT lifecycle policy: formalised IT asset disposal policy to promote recycling, upcycling and waste reduction
• Thirty-one percent reduction in IT services emissions: demonstrating the organisation’s commitment to efficient, low-impact cloud operations
• 1,200+ devices donated globally: expanding digital access and promoting responsible consumption in underserved communities
People
• 13,000+ technical certifications earned since 2023: empowering employees with cloud and sustainability skills across AWS, Microsoft Azure, Google Cloud, Cisco, Oracle, Red Hat, SAP, VMware and others
• Ninety-five percent of employees AI-ready certified: surpassing organisational goals and preparing the workforce for responsible AI deployment
• Every employee receives 40 hours of volunteer time off each year: delivering 23,000 hours logged and US$160,000 raised for local causes in recent reporting periods
• US$8M+ raised for education via Rackspace Foundation: supporting 10,000+ students with STEM and holistic programmes.
